Is SU (Suncor Energy Inc.) Halal or Haram?

Based on our AAOIFI-standard shariah screening, SU is Halal and considered permissible for Muslim investors. It passed all 4 of 4 compliance screens including business activity review, debt-to-market-cap ratio (27.16% vs ≤33% threshold), interest income ratio (0.39% vs ≤5% threshold), and cash & securities ratio (5.39% vs ≤33% threshold).

Suncor Energy is one of Canada's premier integrated energy companies, primarily known for its massive operations in the Athabasca oil sands. Beyond extraction, the company handles the entire lifecycle of energy production, including refining crude oil and marketing it directly to consumers through its extensive network of Petro-Canada gas stations. This vertical integration allows them to capture value from the ground all the way to the pump. For Muslim investors looking for exposure to the energy sector, Suncor is currently deemed Halal based on AAOIFI standards. It successfully passed all four critical screening metrics, meaning its business activities are permissible and its financial ratios fall within acceptable Islamic limits . This makes it a viable option for those building a shariah-compliant portfolio focused on natural resources and commodities. Fin ancially, Suncor demonstrates discipline that aligns well with Islamic finance principles. The company's interest-bearing debt sits at 27.2% of its market capitalization, which is safely below the 33% threshold, indicating they are not overly leveraged with haram financing. Furthermore, their cash and interest-bearing securities make up only 5.4 % of their market cap, suggesting they reinvest capital into operations rather than hoarding cash in interest-generating accounts. Investors should continue to monitor Suncor's debt levels, as the energy sector is capital-intensive and debt ratios can fluctuate with oil prices. While the current snapshot is compliant, significant drops in market capitalization or increased borrowing for new projects could impact these ratios in the future. Regular quarterly screening is recommended to ensure continued compliance. Suncor Energy Inc. operates in the Energy sector under the Oil & Gas Integrated industry and is headquartered in Calgary, AB, CA. The company is led by CEO Richard Kruger and employs approximately 15,010 people.

SU was screened using AAOIFI-based shariah compliance criteria. Four tests are applied: (1) Business Activity — the company's core business must not derive primary income from haram (prohibited) activities such as alcohol, gambling, tobacco, or interest-based finance. (2) Debt-to-Market-Cap — total debt must not exceed 33% of market capitalization. (3) Interest Income — interest income must not exceed 5% of total revenue. (4) Cash & Securities — cash and interest-bearing securities must not exceed 33% of market cap. SU passed 4 of these 4 screens.

Although SU passes all shariah screens, it does earn $191.8M in interest income (0.39% of revenue). Many scholars recommend purifying this portion by donating the equivalent percentage of any dividends received to charity. For example, if you receive $100 in dividends, you would donate approximately $0.39 to purify the income.

SU was last screened on 2026-02-24. Shariah compliance status can change as companies report new financial data, acquire new businesses, or shift revenue streams. We recommend checking back periodically for the most up-to-date screening results.